Clothestime
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Formerly | Clothesline (1974) |
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Company type | Public (1983-1997), Private (after 1997) |
Industry | Retail |
Founded | 1974 |
Defunct | 2004 |
Headquarters | Anaheim, California |
Number of locations | 550 (December 1995) |
Key people | Raymond DeAngelo John Ortega II Norman Abramson |
Products | Apparel |
Website | "Clothestime". Archived from the original on 12 April 2003. |
Clothestime was an American discount women's apparel retailer which originally found success in the junior clothing market. Founded by Raymond DeAngelo and John Ortega II in 1974, [1][2] at its peak, the chain had more than 500 locations across the United States.[3]
Their motto was "always in fashion, never full price",[4] and they typically offered trendy brand-named merchandise at 30 to 70 percent below the retail prices suggested by manufacturers,[5][6] as well as their own private-label items.
Clothestime stores were often located in low-rent strip malls.[2]
History
[edit]During the early 1970s, business partners Raymond DeAngelo and John Ortega II curated clothing items from flea markets,[1] reselling them to retailers in Southern California. By 1974, they shifted to conventional retailing and opened their own store, which they soon developed into a retail chain.
In 1983, Clothestime went public, and rapid growth soon followed. They expanded from 98 stores at the time of going public, to 263 stores by 1987.[7]
In 1989, amid a $2.2-million loss from the previous year, Clothestime changed their marketing strategy, targeting "older" career-oriented customers over the age of 25.[2][8]
By 1992, Clothestime was back to rapid growth,[4] and the company set a goal of opening 1,000 stores by the year 2000.[9] However, operations had already begun to show signs of slowing in 1993.[10]
In January 1995, Raymond DeAngelo resigned from his position as chief executive officer,[11] vice chairman, and director. Prior to his resignation, DeAngelo had been vice chairman since 1982, and chief executive since 1990.[12]
In December 1995, Clothestime filed for bankruptcy for the first time, with plans to close 140 of its 550 stores.[3][13][14]
In January 1997, executives John Ortega II (chairman, chief executive, and co-founder), and Norman Abramson (president and chief operating officer) resigned from their positions at Clothestime.[15][14][11]
In September 1997, a bankruptcy court confirmed reorganization plans for Clothestime. Clothestime's stock was cancelled, and the company went private.[16]
In 2002, Clothestime launched an $8 million marketing campaign.[5]
In January 2003, in the hopes of retooling its image,[17] Clothestime was purchased by JM Associates, an apparel manufacturer in New York.[18]
In June 2003, Clothestime's creditors filed an involuntary bankruptcy petition, claiming more than $700,000 (~$1.11 million in 2023) in missed payments.[19]
In early 2004, Clothestime ceased operations.[20]
In 2012, the bankruptcy case was closed after Clothestime had paid out almost $2 million (~$2.62 million in 2023) in claims to creditors.[21]
As of 2013, Clothestime owed the state of California almost $2.9 million (~$3.74 million in 2023) in unpaid taxes.[21]
References
[edit]- ^ a b Rutberg, Sidney (16 October 1986). "Clothestime rose from flea market roots". Women's Wear Daily. 152. Retrieved 31 January 2023.
- ^ a b c Tighe, John Charles (8 March 1989). "Clothestime Plans to Close 10 Stores, Bid for Older Shoppers". Los Angeles Times. Retrieved 31 January 2023.
- ^ a b Johnson, Greg (9 December 1995). "Clothestime Apparel Chain to Reorganize : Bankruptcy: The Orange County-based discounter plans to close 140 of its 550 outlets". Los Angeles Times. Retrieved 30 January 2023.
About 140 of the company's 550 locations will be sold off or closed
- ^ a b "Clothestime earnings up 50 percent". United Press International. 19 August 1992. Retrieved 31 January 2023.
- ^ a b "Clothestime Steps Out With Marketing Drive". California Apparel News. 7 June 2002. Retrieved 31 January 2023.
- ^ Horovitz, Bruce (29 May 1986). "Clothestime Chain Plans to Double Number of Stores". Los Angeles Times. Retrieved 31 January 2023.
- ^ Galante, Mary Ann (25 February 1986). "ClothesTime Inc. Fills Its Long-Vacant President's Post". Los Angeles Times. Retrieved 31 January 2023.
- ^ Galante, Mary Ann (17 August 1989). "Retailer Bouncing Back from Loss : Clothestime Woos 'Older' Women--and It Pays". Los Angeles Times. Retrieved 31 January 2023.
- ^ Woodyard, Chris (18 June 1992). "RETAIL : Anaheim's Clothestime Hopes to Be a Size-1,000 Chain by the Year 2000". Los Angeles Times. Retrieved 31 January 2023.
- ^ "Clothestime Inc.: The Anaheim women's apparel retailer..." Los Angeles Times. 2 November 1993. Retrieved 31 January 2023.
- ^ a b Johnson, Greg (21 January 1997). "Co-Founder May Reenter Clothestime as an Investor". Los Angeles Times. Retrieved 1 February 2023.
- ^ "DEANGELO STEPS DOWN FROM CLOTHESTIME POSTS". Women's Wear Daily. 10 January 1995. Retrieved 1 February 2023.
- ^ Johnson, Greg (9 December 1995). "Clothestime Rags-to-Riches Story Adds Sad Chapter 11". Los Angeles Times. Retrieved 31 January 2023.
- ^ a b "CLOTHESTIME TO BE SOLD OR CLOSED". Women's Wear Daily. 31 January 1997. Retrieved 31 January 2023.
- ^ "BANKRUPT CLOTHESTIME LOSES TWO TOP EXECS". Women's Wear Daily. 21 January 1997. Retrieved 1 February 2023.
- ^ "COURT APPROVES CLOTHESTIME CHAPTER 11 PLAN". Women's Wear Daily. 15 September 1997. Retrieved 31 January 2023.
- ^ "New Focus for Clothestime Could Include New Owner". California Apparel News. 10 January 2003. Retrieved 31 January 2023.
- ^ "JM Associates Buys Clothestime". Women's Wear Daily. 6 February 2003. Retrieved 31 January 2023.
- ^ "Clothestime's Creditors File Bankruptcy Petition". Los Angeles Times. 17 June 2003. Retrieved 31 January 2023.
- ^ "Clothestime readies comeback, considering Wet Seal locations". Women's Wear Daily. 3 November 2004. Retrieved 31 January 2023.
- ^ a b Leung, Lily (19 September 2013). "Clothestime's death doesn't deter taxes". The Orange County Register. Retrieved 31 January 2023.
- Defunct clothing retailers of the United States
- Clothing companies of the United States
- American companies established in 1974
- Clothing companies established in 1974
- Retail companies established in 1974
- Retail companies disestablished in 2004
- Companies that filed for Chapter 11 bankruptcy in 1995
- Companies that filed for Chapter 11 bankruptcy in 2003